Dispute over insurance pay-out for fire damage at recycling facility admitted to fast track commercial court

A legal dispute over the alleged failure of an insurance company to make a decision over whether to pay out over fire damage to a recycling facility in South County Dublin has been admitted to the fast track Commercial Court list.

Dispute over insurance pay-out for fire damage at recycling facility admitted to fast track commercial court

A legal dispute over the alleged failure of an insurance company to make a decision over whether to pay out over fire damage to a recycling facility in South County Dublin has been admitted to the fast track Commercial Court list.

The action has been brought by businessmen and farmers, Frank and John Gargan, and Rathcoole Grain Ltd, which leases out industrial units against QIC Europe Ltd with registered offices at Lime Street, London.

The plaintiffs claim they leased out premises to a firm called Natural Energy & Recycling Ltd located at Tay Lane, Greenogue, Rathcoole, Co. Dublin, which on August 21, 2018, was extensively damaged by a fire.

The blaze engulfed the premises, the processing shed where contents and materials were stored.

it is estimated that the cost of reinstating the site is at €1.3m

The plaintiffs claim they had taken out an insurance policy with QIC in 2017, which should indemnify them for their losses in respect of the premises.

The insurance company was informed of the incident the day after the fire occurred. However, the plaintiffs claim that the QIC has refused, neglected and failed to indemnify them.

The court heard that QIC had hired a loss adjuster, but in correspondence have informed the plaintiffs that they are "finalising their investigations" in the matter.

Frank Gargan of Ayrfield House, Rathcreedon, Rathcoole, Co. Dublin and John Gargan of Rathcreedon House, Rathcreedon, claim they are unhappy with the defendant's refusal to make a decision in relation to their claim.

They cannot derive any rent from the site until the dispute is resolved.

In their action, the defendants seek an order requiring the insurer to specifically perform the 2017 insurance policy in respect of the loss and damage they suffered following the fire.

They also seek a declaration that they are entitled to an indemnity from QIC in accordance with the policy, as well as an order for damages, including aggravated damages for breach of contract and breach of duty.

The case was admitted to the fast track Commercial Court list by Mr Justice Robert Haughton today.

The plaintiffs, represented by Martin Hayden SC, sought to have the case admitted to the list. There were no objections to the application, and the case was adjourned for a week.

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